As of my last update in September 2021, some lenders in India offered additional benefits and incentives for using Aadhar card as an identification document when applying for a personal loan. However, please note that these offerings may vary depending on the lender's policies and can change over time. Here are some potential benefits:
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Quicker loan processing
By using Aadhar-based e-KYC, lenders can verify your identity and personal information more efficiently. This can lead to faster loan processing and quicker disbursal of funds, enabling you to meet your financial needs promptly.
Reduced documentation requirements
Aadhar-based e-KYC eliminates the need for physical documents and extensive paperwork. This streamlined process simplifies the application process, making it more convenient for borrowers.
Lower interest rates
Some lenders might offer slightly lower interest rates or processing fees for loans where Aadhar card is used for identification. This incentive is aimed at promoting the use of Aadhar-based e-KYC and encouraging financial inclusion.
Special offers and discounts
In certain cases, lenders may provide special offers or discounts to borrowers who use Aadhar card for loan applications. These offers could include cashback, gift vouchers, or other benefits, making the loan more attractive to potential borrowers.
Higher loan eligibility
Aadhar-based e-KYC provides a more accurate and reliable way to assess a borrower's creditworthiness. As a result, some lenders may offer higher loan amounts or better loan terms to borrowers who use Aadhar card for identification.
Easy loan tracking
With Aadhar-based e-KYC, borrowers can easily track the status of their loan application online, making it more convenient to stay informed about the progress of their loan.
It's important to note that not all lenders offer additional incentives for using Aadhar card as an identification document. The availability of these benefits may vary depending on the lender's policies, the loan product, and the borrower's credit profile. Before applying for a loan, it's advisable to compare different lenders and their offerings to find the most suitable option for your needs. Always read the terms and conditions of the loan carefully to understand any potential benefits associated with using Aadhar card for loan applications.
